JFK Gold Coin for Collectors, Not Investors: Analysts

Posted by Brian Ford onAugust 12, 2014

The U.S. Mint’s 24-karat John F. Kennedy commemorative gold coin has taken off with collectors and resellers of limited-edition coins, but many analysts believe the JFK gold coin bubble could pop sooner rather than later. These analysts have warned that premiums could skyrocket in the coming days and weeks before falling flat, as this scenario has played out countless times with other U.S. Mint commemorative gold coins.

“The U.S. Mint sold 56,694 of these three-quarter ounce gold coins in one day, although only 40,000 have been minted as of yet,” said Certified Gold Exchange analyst Lou Wynn. “The opening price for the JFK gold coins was $1,240 per, but there have been reports of people paying $5,000 for certain versions, in addition to buying replacement coins for the sellers.”

Investment-grade numismatics tend to see their collector value grow over time, not overnight, according to Wynn. “The commemoration of the 50th anniversary of the release of the Kennedy half-dollar is certainly a big deal, but will this coin protect you against inflation and government debt? With the large premiums on these coins, the likely answer is ‘no’,” Wynn commented.

“Instead of camping out for the ‘privilege’ to purchase one of these coins, you might want to save yourself some time and money by purchasing investment-grade gold coins online, via a reputable dealer that provides free home delivery,” Wynn added. “Collectors and history buffs are going to be hunting down these coins for years, but serious gold investors have more viable and potentially more profitable options.”